Foreign inflows: A man walks past a replica of the Charging Bull of Wall Street in the Bombay Stock Exchange in Mumbai. The RBI is likely to keep its policy rate unchanged this week and traders will watch for cues on when it will start cutting rates. — Reuters
MUMBAI: Indian bonds are set for their best year in four and investors expect more gains on a combination of policy drivers and resilient domestic demand.
The central bank’s rate cuts anticipated from early next year on slowing economic growth, continued index-inclusion-related foreign inflows and a strong demand from local pension and insurance companies are likely to further burnish the appeal of sovereign notes.
